Check the contractor license and deposit limit before work starts

Use the CSLB license lookup before you accept a bid or pay a deposit. Match the exact business name, active status, and license number. Check the license class for the work. Also check the bond and workers’ compensation record. Match the person who presents the contract. If that person is a home-improvement salesperson, confirm the CSLB registration.

California generally requires a current contractor license if the job needs a building permit. A license is also required if employees will do the work. The same rule applies if labor and materials cost $1,000 or more in all.

The small-job exemption has three tests. The full cost must be under $1,000. The job must not need a permit. No employees may do the work. A large job cannot be split into small contracts to avoid the rule.

For a home-improvement job, put the scope, materials, and permits in writing. Include start and finish dates, how changes will work, and the payment plan. The down payment generally cannot be more than $1,000 or 10 percent of the contract price, whichever is less. Later payments should not run ahead of work done or materials delivered. There is a rare exception when the CSLB record shows a blanket performance and payment bond.

A license is only the first screen. It does not show how good the future work will be. It also does not replace local permits and inspections. Keep the bid, contract, change orders, payments, releases, photos, messages, and permit record together.